Heartwarming Abc Company Income Statement

Cost of Goods Sold Opening inventory X Add.

Abc company income statement. Sales return return inwards X Net sales X Less. Although this statement provides some necessary information about the companys finances it does not provide extensive details about ABC Companys gross profit and operating profit. Purchase return return outwards X Add.

Shows that the company is generating the net income of 42000. Analysis of ABC Pty Ltd. Compute the missing amounts on the companys financial statements.

The company currently has annual sales of around 12 million a 25 increase from the previous year. ABC Corporation ABC Corporation Income Statement Balance Sheet For the Year Ended December 31 2010 December 31 2010 Sales 225000 ASSETS Cost of goods sold 72000 Current Assets Gross Profit 153000 Cash 14000 Operating Expenses. Assume a 365 days per year.

Accounts receivable 8000 Salaries expense 45000 Allowance for doubtful accounts 1200 6800 Utilities expense. Lease for office 30000. The goal of going through the process shown in Figure 17 Income Statement Schedules for Custom Furniture Company is to arrive at a cost of goods sold amount which is presented on the income statement.

Custom Furniture Companys income statement for the month ended May 31 is shown in Figure 18 Income Statement for Custom Furniture Company. Similarly the income statement also reflects that the there are massive operating expenses which has impacted the sales and therefore the Net Profit margin is 467s which is low. Advertising and promotion 24000.

The company has an aggressive growth target of reaching 3 million annual sales within the next 3 years. Cost of sales 200000. Balance sheet Cash 400 AsR 1300 Inventories 2100 Total current Assets 3800 Fixed Assets net 3320 Total Assets 7120 AsP Accruals Short-tern loans Total current liabilities Long term Debts Equity Total liabilities Equity 320 260 1100 1680 2000 3440 7120.